API moving LI, NC facilities to Central Islip

A manufacturer of injection moldings and LED lighting equipment has plans to consolidate its operations in Westbury and North Carolina into a currently vacant 100,000-square-foot building in Central Islip.

Michael Lax, owner and CEO of Autronic Plastics Inc., said he has been running out of space at his current 40,000-square-foot facility in Westbury, and was trying to decide whether to expand on Long Island, where the company has been based for more than 50 years, or relocate to North Carolina, where API opened a separate 20,000-square-foot facility about 15 years ago.

He found the perfect space for the company’s expansion in Central Islip at 1150 Motor Parkway, a building originally owned by Computer Associates,

However, with a pricetag of $5 million and a tax rate at $3.06 per square foot, the building was a more than API wanted to pay. Rehabilitation and purchase of equipment bring the total cost of the project to $9.525 million

To encourage the 76-employee company to stay on Long Island, and relocate its nine-employee North Carolina operation here, the Suffolk County Industrial Development Agency today approved a package of tax breaks, including a 50 percent reduction in property taxes that decreases annually – totaling $1.04 million over the 12 year life of the program, $90,563 in mortgage recording tax abatement and $86,251 in sales tax savings.

In exchange, API will keep all its employees on Long Island, move its lighting operations from North Carolina to Central Islip and agree to create an additional 10 jobs within two years.

Gov. Andrew Cuomo has stated he is not in favor of IDA deals that move a company from one county to another within the same region, but Suffolk IDA officials said that wasn’t what was occurring with API.

“We’d rather have them here than in a county in North Carolina,” Manetta said, noting the company was having serious conversations about leaving Long Island entirely.

In its primary business operations, API uses plastic injection moldings to create a variety of products. Most notably, the company has provided security cases for VHS cassette tapes and DVDs to Blockbuster Video stores, libraries and video game maker Nintendo.

The company expanded into the LED business roughly 15 years ago, creating construction and emergency-related lighting equipment, such as work lights used by Metropolitan Transportation Authority workers. Lax said AFI also created the first LED traffic lights used in New York City. The company opened its facility in North Carolina to handle this increasing segment of its business.

In unrelated business, the Suffolk IDA also approved tax breaks through the county’s new Boost program to Farmingdale-based nutraceutical company Vitamix Laboratories.

The maker of powdered and liquid dietary supplements will be moving from two suites totaling 7,200 square feet at 141 Central Ave. in Farmingdale to a 23,175-square-foot space at 69 Mall Drive in Commack. Vitamix will lease half the space at the Commack facility, receiving $67,091 in property tax savings – a 50 percent reduction over five years – and $7,892 in sales tax abatement.

Vitamix currently employs 11, but will add 20 as part of the IDA agreement over the next two years.